“The Original” Levi Strauss Denim Jeans Jie Zhao - Evan Gross BA 390 • Levi Strauss issued patent on 20 May, 1873 • San Francisco, CA • Popular with working class in the West. • World War II - essential commodity • 50’s-70’s embraced by youth subcultures • Monopolized Denim Market for over 100 years. • More Competitors • Bad Publicity • Missed Specialized Jeans Trend 1974 1996 2006 2007 2008 2009 2010 Mission Statement The Mission of Levi Strauss & Co. is to sustain responsible commercial success as a global marketing company of branded apparel. We must balance goals of superior profitability and return on investment, leadership market positions, and superior products and service. We will conduct our business ethically and demonstrate leadership in satisfying our responsibilities to our communities and to society. Our work environment will be safe and productive and characterized by fair treatment, teamwork, open communications, personal accountability and opportunities for growth and development. Differentiation in the US • • • • “Levi Strauss Signature” Wal-Mart Specific Compatibility with brand image Wal-Mart cutting clothing sales; Levi’s shifting to Target Current US Market Position Market Segments Encircled Current Target Market • Youth 18-30 • Quality at an affordable price. • Concerned with Sustainability. Recent Marketing Strategies • 70 Levi’s outlet stores opened in 2009 • 28 additional stores in 2010. • Premium Brand Levi Stores in London, New York, Boston, and Malibu. • Different attitudes • Average 100 dollars • L.V.C. could cost 250 dollars Price position • • • • • • were born between 1980 to 1989 about 240 million people economic growth multiculture Comfortable with technology …… http://www.tudou.com/programs/view/3SaFL5hzIgo From: CNCIC, 21-Jan-2011 Product •Good quality •Variety and innovative Differentiated marketing strategy: • Launched in Aug 2011 • Aimed at China • Price is around 50 dollars http://www.denizen.com/zh-cn/Spring_Summer_2011 Future Marketing Outlook • CEO Charles Bergh hired June 2011. – Former CEO of Proctor and Gamble • Global Marketing Expertise – Rebecca Van Dyck hired March 2, 2011 • (iPhone, iPad, iPod+iTunes)(Just Do It) – “Fully integrated marketing strategies… [worldwide]” • Global Message – “Go Forth” will be used in 24 countries worldwide – Cost Reduction, Recognition • Global Fit – Retooling of facilities for the same fit worldwide. • Use of Walt Whitman • Revolutionary Flavor • Industrious • “Original” http://www.youtube.com/watch?v=HG8tqEUTlvs 1. 2. 3. 4. 5. 6. 7. 8. http://www.fastcompany.com/magazine/64/smartcompany.html http://www.tudou.com/programs/view/3SaFL5hzIgo http://q.chinasspp.com/n73046-2.html “Levi’s Marketers Hope One Size Fits All,” http://www.sclohocollectivewisdom.com/2008/07/levis-new-marketing-strategy.html, July 18 2008 “Levi’s Brand Appoints Global Chief Marketing Officer,” http://www.prnewswire.com/news-releases/levis-brand-appoints-global-chiefmarketing-officer-117265383.html, March 2, 2011 “New Levi’s marketing chief Rebecca Van Dyck sends W+K’s ‘go forth’ campaign global,” http://www.moreaboutadvertising.com/2011/07/new-levis-marketing-chiefrebecca-van-dyck-sends-wks-go-forth-campaign-global/, July 11, 2011 “Levi Strauss & Co.,” http://en.wikipedia.org/wiki/Levi_Strauss_%26_Co. “2007-2010 Annual Reports, Levi Strauss,” http://www.levistrauss.com/investors/annual-reports